Getting into a car accident is already stressful. Those stress levels go up even higher when you’re having to deal with mounting bills from a hospital, doctor, and car body repair shop.
If the car’s totaled, you must begin shopping for a new car. There is also the added pressure put on the family who must make new transportation arrangements or help with your injury recovery.
The last thing you need to worry about is how you will pay for all of this.
One of the most frequent questions we get asked in our free case evaluations is, “How long does it take to get a car accident settlement?”
As you might expect, there is no “one size fits all” type of answer to that question.
A settlement can take anywhere from a few weeks to several months. It helps to understand the claim and settlement process, so you know what to expect and what questions to ask your attorney.
Sending a Claim Letter
From the day the accident occurs, the clock starts ticking on the statute of limitations for filing.
New Mexico law sets those limitations at three years. If you file outside of that time, the court will deny you a chance to hear your case. It is important to note that the filing deadline applies to a civil complaint, not the insurance claim.
However, you must file an insurance claim before filing a civil complaint. That is where the claim letter comes into play.
A claim letter may also be referred to as a demand letter or package. This is something that’s sent to the relevant insurance carrier. That could be your insurance company or the company of the at-fault driver. It is also something that an attorney typically oversees.
The demand letter will include the following:
- Details of the car accident, including where and when it happened, and who was involved.
- Medical reports of injuries sustained.
- List of related expenses, such as medical bills and lost wages.
- A statement of who was at fault.
- Police report.
- Supporting evidence, such as photos and videos.
- A specific settlement dollar amount.
The insurance company needs to acknowledge receipt of the demand letter. As for a response, there is no specific law in New Mexico beyond the recommendation that insurance companies take “a reasonable time” to respond.
An insurance company can interpret that in many ways, but a good attorney won’t let them off the hook.
Insurance Company Response
When the insurance company does respond, they will either accept the demands, offer a lower amount, or deny the claim. If they accept the demand, they’ll likely cut a check within days of you signing the formal agreement. That agreement closes the case.
It also means you can’t reopen the claim for new expenses later. That is why it is important to get your initial amount correct. If the insurance company offers a lower amount, your attorney will enter negotiations.
This will mean conferring with you to determine what counteroffer might be acceptable. Your attorney will then present the offer, which the insurance company must review and respond to.
Each time you make an offer and counteroffer, it could take several days to get a response.
In the case of a denial, you and your attorney might decide that the best way to move forward is with a civil complaint. This would be an official lawsuit that would compel the insurance carrier to respond and put up a defense against your claim. The fact that you filed the lawsuit will tell the insurance company that you aren’t going anywhere.
That might inspire them to offer a decent accident settlement to avoid court costs or a higher jury award.
Making the Right Settlement
Excluding the civil complaint, the process described above could take several weeks.
If you move on to the civil complaint, you will rely on the court’s schedule. That could mean setting a trial date several months in the future. While delays might be frustrating, you need to be wary of accepting that first offer from an insurance company, especially if all your expenses haven’t been calculated.
The car accident attorneys at Barrera Law Group, LLC, can offer the support and guidance you need to get through the settlement process.
It helps to have experienced legal counsel on your side to make the right settlement call.